Nestlé Nigeria to consolidate 22% PAT growth with local content sourcing, expansion
Adesola Afolabi was a businessamlive reporter and Head of Financial desk.
A 22 percent growth in profit after tax of Nestle Nigeria in the half year period ended June 30, 2019 will be further boosted through local content sourcing and expansion in product commercialisation.
This was disclosed by Mauricio Alarcon, managing director and CEO of Nestlé Nigeria, in his outlook for the firm’s second half of the year.
According to Alarcon, the economy has been challenging, however, “we are confident in our company’s capacity to innovate to keep delighting our consumers with nutritionally superior products and foster our people’s ability to win,” he said.
Alarcon also noted that the firm’s continuous investments in customer delight will create shared value for Nestle’s shareholders and for the people of Nigeria.
Alarcon added that “in line with our purpose which is enhancing quality of life and contributing to a healthier future, we will remain focussed on enabling thriving and resilient communities through local sourcing, expanding the commercialisation of our food and beverages to deliver accessible and affordable nutrition to more people and strengthening our value chain to gain further efficiencies.”
Financial results for the half year ended 30 June 2019 showed the company recorded a revenue of N141.9 billion for the period January to June 2019, a growth of 4.9 percent over same period in the previous year.
It also reported profit after tax of N26.2 billion during the first half of 2019 against N21.5 billion recorded in the same period of 2018.
Highlighting the reason behind growth, Alarcon, said, “Our company’s growth is the result of consistent investment behind our brands, intensified efforts to communicate with our consumers and
continuous investment in route to market to deliver better value to consumers.
He thanked the company’s consumers for their trust and continued loyalty as well as commended the discipline and dedication of Nestles people for driving sustainable, profitable growth.”
Earnings per share of the consumer goods firm also improved in the first half of by 2019 by 22.3 percent to N33.11 when compared against N27.07 in the first half of 2018.